[Terrapreta] Economics of biochar

[Gerald Van Koeverden]

Is Brazil the biggest producer of charcoal in the world?  I  
understand that the steel industry is the biggest user.  Over a 2  
year period I see that their in-country prices varied between about US 
$10 to 20 per cubic meter.  How many tons/cubic meter?  I don't think  
it would be less than 0.2, giving a price of between US$50 - 100/ton??

Gerrit

"In this period, a world wide energy crisis breaks up
and charcoal prices reach, in January, 2000, US$ 20.12 per
cubic meter, due to the shortage of raw material supply.
This situation, however did not last long and prices fell to
US$ 13.71 in July of the same year.
Thus, the wood shortage was more harmful to
the charcoal sub-sector than to any other forest sub-
sector both to independent producers and to integrated
plants. The integrated plants are more organized and
possess a better planning because it produces its own
forest based raw material. The independent producers
of charcoal already contracts of short period with the
steel plants.
In January, 2001, the prices went up, reaching
US$ 14.87 level again, due to the favorable exchange to
the exports, however, it started falling again until
October, 2001 reaching US$ 9,98, when the exchange
rate was R$ 2,74/US dollar. The exchange rate was
controlled up to June, 2002; charcoal prices went up,
reaching US$ 15.03 once again, in April, 2002. The
quotation of the dollar broke the psychological barrier
of R$ 3.00/US dollar; consequently, charcoal prices fell
to the bottom level of US$ 10.79, in November, 2002,
arising again in December."
  from:
http://www.dcf.ufla.br/CERNE/Revistav13n2-2007/08%20artigo%20424.pdf

On 30-Dec-07, at 1:56 PM, Rick Davies wrote:

>
> Hi Tom
>
> Thanks for these interesting calculations (below). Two points:
>
> 1. Your US$1000/ton estimate for a whole sale price for charcoal  
> fits well with a reply I received back from Bioregional today, who  
> said they could sell for UK£500 a tonne. When asked about charcoal  
> fines they quoted UK£300 a tonne
>
> 2. Left out of your calculations, I think, is the interesting and  
> perhaps unique feature of biochar, which is that you can sell the  
> same kg of charcoal twice! Once as a carbon offset, to people like  
> me, then secondly as a soil improver to others (and adding to  
> compost would be a verifiable means of putting charcoal beyond use,  
> as a fuel).
>
> Could you re-do your calculations taking into account both sources  
> of income that producers of charcoal as biochar could receive? My  
> hope is that it might help make charcoal sold as biochar a more  
> attractive business proposition than selling charcoal as a fuel
>
> regards, rick davies
>
>
>
> -- 
> Rick Davies (Dr),
> Monitoring and Evaluation Consultant, Cambridge, United Kingdom.
> Mobile:  (44) 07855 766 354, Skype: rickjdavies,
> Email: rick.davies at gmail.com
> Monitoring and Evaluation NEWS at http://www.mande.co.uk
> Rick on the Road at http://www.mandenews.blogspot.com
> Homepage at http://www.shimbir.demon.co.uk
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